Rising Yields Erode Asian Dollar Bond Returns in November

(Bloomberg) -- Returns on Asian dollar bonds have dropped so far this month, according to JPMorgan Chase & Co. indexes, and a further slide in bond prices threatens to make it the worst month of 2017. 

Spreads on Asian investment-grade bonds have come off a decade low reached in October, and yields on speculative-grade notes rose to a three-month high on Tuesday. A move by investors to lock in profits and more issuance by borrowers in the region toward year-end will keep a cap on performance for the rest of 2017, according to Anne Zhang, executive director for fixed income, currencies and commodities at JPMorgan Private Bank in Hong Kong.

To contact the reporters on this story: Finbarr Flynn in Tokyo at fflynn3@bloomberg.net, Lianting Tu in Hong Kong at ltu4@bloomberg.net.

To contact the editors responsible for this story: Neha D'silva at ndsilva1@bloomberg.net, Finbarr Flynn

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